USD/JPY pares losses on the session but sellers still in near-term control

Technical Analysis

Author: Justin Low | usdjpy

USD/JPY moves off earlier lows of 104.20 to 104.72

USD/JPY D1 31-07
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The slight nudge higher comes as the dollar is also seen holding its ground a little on the session, with EUR/USD backing off 1.1900 to 1.1850 levels currently.

For USD/JPY, there is the jawboning by Japanese policymakers to take note of in the bigger picture but unless the fall in the pair threatens to be a bit too far and too fast, they are unlikely to step in until we start to approach 100.00 down the road.

So far, the dollar is gaining back some ground on the session as we also see AUD/USD pare gains in a fall from 0.7225 to 0.7195 while NZD/USD is now sitting lower by 0.3% to 0.6680 - reaching session lows in fact.

Back to USD/JPY, the nudge higher isn't amounting to much yet as sellers still keep near-term control in the pair with the 100-hour moving average only seen @ 105.08. Keep below that and sellers will continue with the more bearish near-term bias in the pair.

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